OverActive Media Corp., parent company of esports organisations Movistar KOI and Toronto Ultra, has reported second-quarter results showing a 26% year-on-year revenue increase alongside reduced operating costs, as the company continues to push towards profitability later this year.
For the three months ending 30 June 2025, revenue reached $8.36 million, up from $6.62 million in the same quarter of 2024. Growth was primarily driven by business operations, including events and agency activity, which offset a decline in league-related income, as certain payments were delayed and last year’s major esports tournaments did not take place this quarter.
Gross profit came in at $4.0 million, representing a 48% margin compared with 62% in Q2 2024. The company attributed the margin change to a larger proportion of event and agency revenue, which typically deliver lower margins than league revenue share or digital merchandise. Operating expenses fell to $5.17 million, down 14% from $6.03 million in the previous year, supported by lower restructuring and business development costs, partially offset by higher roster and team payroll.
Adjusted EBITDA for the quarter showed a loss of $1.02 million, narrowing slightly from a $1.23 million loss last year. Comprehensive loss totalled $1.49 million, compared with a $6.43 million profit in Q2 2024, which had included a one-off $9.8 million gain from franchise obligation adjustments. Cash and cash equivalents stood at $5.07 million, with net working capital at $1.87 million.
On a year-to-date basis, OverActive reported revenue of $13.36 million for the first half of 2025, up 30% from the same period in 2024. Gross margin fell to 50% from 67% a year earlier, reflecting a greater share of event-driven income. Adjusted EBITDA for H1 2025 showed a $3.29 million loss compared with a $3.05 million loss in the prior year.
Also read: OverActive Media posts record Q1 2025 results
Chief Executive Officer Adam Adamou described the quarter as one focused on “delivery and discipline,” highlighting major event successes including LEC on the Road in Madrid, which attracted 18,000 attendees, and the Call of Duty League Championship Weekend in Canada, which drew 11,000 fans and 353,000 peak online viewers. Adamou also noted the continued growth of OverActive’s influencer business and reaffirmed expectations for profitability in the second half of the year, when higher-margin league and digital merchandise revenues are due to ramp up.
The company also expanded its direct-to-consumer offering with the launch of Fénix Club, a subscription loyalty programme offering fans exclusive experiences and merchandise. Partnerships remained active, with a renewal of its Monster Energy agreement and a collaboration with Little Caesars Canada for CDL Champs.
In July, OverActive introduced ActiveVoices, an AI-powered SaaS platform for real-time translation, dubbing, and multi-platform publishing across more than a dozen languages. The service, already being piloted with KOI content, is positioned as an extension of the company’s digital media and creator-focused strategy.
Reflecting on the company’s trajectory, Adamou stated that OverActive has nearly matched its full-year 2023 revenue performance in just the first half of 2025. He added that the second half of the year will concentrate higher-margin streams such as league revenue share, digital merchandise, and the Esports World Cup. The company will hold its Q2 conference call on 21 August 2025 at 9:00 a.m. ET.
